Global gold prices fell more than 1% during these moments of trading, today, Thursday, as investors took profits before US economic data that may provide more indications about when the central bank will cut interest rates this year and by how much.

“When you look at it from a fundamental perspective, there are no factors weighing on gold,” said Kelvin Wong, senior market analyst at OANDA. “So, it looks like we are seeing some profit-taking and from a technical perspective, prices could move lower.”

Markets are awaiting US GDP data due at 15:30 Riyadh time and personal consumption expenditure data - the Federal Reserve's preferred measure of inflation - on Friday for further clues on the timing of a US interest rate cut.

Traders are expecting the Federal Reserve to make a long-awaited interest rate cut in September, and the appeal of non-yielding bullion tends to shine in a low interest rate environment.

The US interest rate tracking tool available on Investing Saudi Arabia showed that investors expected borrowing costs to remain unchanged at the July meeting at 95.3%, with expectations of a 25 basis point Fed rate cut at the September meeting rising to 91.5% from 60.5% a month ago.

If the PCE data shows that inflation is slowing and the Fed can cut interest rates in September, we will see a rebound in gold prices, Wong said.

Gold at settlement yesterday

Gold futures prices rose during trading on Wednesday, as the dollar declined, amid anticipation of the release of economic data from the United States this week, in an attempt to anticipate the future path of monetary policy.

At settlement, gold futures for August delivery rose 0.35%, or $8.4, to $2,415.70 an ounce, extending gains for the second straight session.

Gold and dollar now

Gold futures are now down 1.7% at $2,374 an ounce.

While spot gold contracts fell by about 0.9% to $2,375 per ounce.

On the other hand, the US dollar index fell by 0.08% to 104.03 points.

Other minerals

Spot silver fell 4.2 percent to $27.78 an ounce during the day.

Platinum fell 1.3 percent to $935.90 and palladium fell 1.6 percent to $917.75.